The Vaca Muerta shale deposit covers 30,000 square kilometers (11,583 square miles) and has technically recoverable resources of 20 billion barrels of oil and 583 trillion cubic feet of natural gas. The play accounts for 40 percent of Argentina's shale gas resources and 60 percent of its shale oil, Tenaris said.

The new service center, which has a capacity of 15,000 tons of pipe, is an extension Tenaris’ existing service center in the province of Neuquén. Tenaris invested US$5 million in the facility.

"The Neuquén bases will allow Tenaris to be closer to our customers and serve them more efficiently,” said Gustavo Martin, commercial director for Tenaris in Argentina.

The new service center is linked via rail to Tenaris’ Campana seamless mill, allowing products to be shipped directly to the center.

Moving products by rail and truck is something the company hasn’t done before in the region, Martin said.